There’s no question that we are currently facing a historically challenging hiring market. No one could have predicted that a global pandemic would expedite such a shift – but here we are, faced with lower labor participation rates, earlier retirements, and higher demands for compensation and workplace flexibility. It’s a culmination of factors, and many companies have never experienced these challenges before. In a market that is driven by candidates, it’s key for companies to pivot and adapt to a new way of thinking to find the best talent.
During the pandemic, employees who could maintain job stability did so because of fear of the unknown. But as companies have regained stability, candidates now feel more confident in making a change, resulting in “The Great Resignation.” While many people would assume that GenZ and younger employees are the ones leaving their jobs, it’s actually the middle-career professionals between 30-45 years old. What does this mean? They are qualified, have clarity on what they want from an employer, and are in the driver’s seat.
Business leaders are no stranger to adapting to change, but this time it’s different.
With remote work becoming the norm and an ongoing influx of job openings nationally, the competition for talent is hotter than ever. The market demand is accelerating increases in compensation and heavily favoring the candidates. Companies hiring have likely never seen this level of market competition and may be struggling to adapt their approach to acquire and retain great talent. Some of the challenges many companies are experiencing when recruiting are:
- Having the ability to work outside of a typical office environment has become desirable to many, so if remote work is not offered, some are quick to not even consider the job.
- Since candidates have many choices about where to interview, many are accepting one job, and then quickly changing their minds and accepting a different one with better benefits, higher pay, or different responsibilities.
- For candidates with multiple offers, many companies are getting out offered by significant amounts ($10K+), making it hard for some to even have a chance.
- Due to national wage escalations, many companies are having to evaluate compensation for their existing employees and address internal equity challenges.
- Companies are truly competing for talent on a nationwide basis. It is no longer about companies in your per se “geographical backyard.”
Candidates now have the leg up when it comes to hiring.
It’s time to put the candidate experience and new hire engagement at the top of your list. Here are the top 6 things to consider as an employer:
- Retain your people.
Let’s face it. It’s the golden rule and even more critical in today’s market. Retaining your people should be everyone’s number one focus right now. Whether an employee feels unappreciated and unrecognized, or competition is knocking on the door of their InMails, there are many distractions that could pull talent away from your organization. Staying out in front of it and ensuring your employees feel valued and a part of the bigger picture can help prevent any turnover. Want to learn more about retention? Check out our previous blog here.
- Think about how you attract talent in the first place.
With so many companies going remote or offering flexible working, how you compete for talent has changed. This means you need to position yourself, your organization, and your employment brand to stand out from the crowd. Focus on what sets your organization apart from all of the others. Why would someone want to work for your company other than just salary?
- Pay what’s right and fair.
Evaluate your compensation and benefits from the beginning. Make sure your offer is competitive – you may not have time to counteroffer. Benchmark against the current market versus lagging information in a salary survey. Think about how you can be creative with compensation.
- The need for speed.
When you have candidates applying, it’s important to be transparent on the process and to move as quickly as possible through the process. Neither side of the fence (candidate or team members) enjoy a drawn-out process. In today’s market, “speed is a recruitment muscle.”
- Making sure expectations vs. reality are aligned.
It’s important to make sure that there is no misalignment between how the role is presented and the actual responsibilities once they begin the job. Establish expectations from the start. Share a detailed job description from the offer stage and make sure everything is clear. If you receive feedback from a new hire about responsibility misalignment, take action.
- Make onboarding fun and exciting!
However big or small, every thought counts. Onboarding starts the day after your candidate accepts the offer. Make sure the transition is smooth, communication is frequent, and that you’ve given them all the tools they need to succeed. Introduce them to the team and make sure they feel comfortable and welcome from the beginning. If you can have fun along the way and show a true company culture, even better.
How FGP can help
As a business that works closely with candidates and clients, FGP has real-time awareness of the current state of the market and ensures clients are up to speed on hiring trends and the market value of talent. We are able to tap into available talent quickly, resulting in an efficient process without compromising on quality. Because of our expertise with both industry and hiring trends, FGP also acts as an advisor to organizations, helping your business navigate today’s hiring challenges. To learn more about our capabilities, please contact us at www.fgp.com.
